Gearbox is developing Halo 4 OMG" rumor continues to be at the top of fanboy debate lists, with Microsoft confirming to Kotaku that Corrinne Yu, director of technology at Gearbox and pictured in full Spartan armor, has been hired as principle engine architect (fancy!) for the Xbox manufacturer's internal Halo team. The official statement: "As the Halo franchise continues to flourish, Microsoft Game Studios is growing its internal team to develop future Halo projects."
And what could "future Halo projects" entail? Microsoft isn't blabbing, but suspicious men in trenchcoats posit that Yu will be working on the nebulous Peter Jackson project and putting her Unreal Engine 3 expertise to good use.